The Korean economy has grown successfully during the past several decades. Korean armed forces are struggling to achieve self-reliance as soon as possible. Both the economy and defense need advanced technology to maintain their rate of growth and to accomplish the country's utmost goal, self- sufficiency. By examining the historical background of the Korean economy and national defense, the author's intent is to find causes and problems of past growth and also to define new relationships between the economy and national defense. Finally, this thesis focuses on the role of defense authority to lead in the utilization of technology rather than depend upon the Korean economy entirely for Korean technological advancement.